SENATE BILL REPORT

SB 5487

BYSenators McCaslin, DeJarnatt and Thorsness

Requiring real estate licensees to disclose certain information in writing.

Senate Committee on Governmental Operations

Senate Hearing Date(s):January 30, 1990

Majority Report:  Do pass.

      Signed by Senators McCaslin, Chairman; Thorsness, Vice Chairman; DeJarnatt, Patrick, Sutherland.

Senate Staff:Rod McAulay (786-7754)

                  February 28, 1990

House Committe on Commerce & Labor

AS PASSED SENATE, FEBRUARY 5, 1990

BACKGROUND:

The Director of Licensing may suspend or revoke the license of a real estate licensee or impose fines of less than $1,000 for various violations.  Certain disclosures are required by real estate licensees and failure to make them constitutes a violation.  Those disclosures are not required to be made in writing.

SUMMARY:

Real estate licensees advertising their own property for sale must disclose only that they hold a real estate license.  Licensees must disclose in writing when representing both parties to a real estate transaction, or when directing a principal to a lending institution from which the licensee expects a fee for such recommendation.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

Senate Committee - Testified: Robert S. Mitchell, Department of Licensing

HOUSE AMENDMENT:

The requirement that the disclosure by a realtor of kickbacks or rebates received for referrals of principals to lendors or escrow companies be made in writing is deleted.